Interim Budget 2024: EV Industry Stakeholders Share A Sense Of Optimism

As Union Finance Minister presented the interim Budget on February 1, 2024, stakeholders from the electric vehicle sector said that the focus on promoting e-buses for public transport and the implementation of a bio-manufacturing programme open doors for creative, sustainable alternatives.

Some commentaries said the increased focus on charging infrastructure will address a key concern for potential EV buyers, and it will also boost the confidence of investors in the Indian EV market.

Samarth Kholkar, CEO and Co-Founder, BLive said that at Blive, we are excited about the opportunities this creates and look forward to contributing to the development of a more eco-friendly and efficient transportation landscape.

“We applaud the government's forward-thinking approach in the budget announcement, particularly the emphasis on expanding the electric vehicle ecosystem. The commitment to support charging infrastructure and encourage the adoption of e-buses for public transport networks is a significant step towards a sustainable future. This move not only promotes cleaner and greener transportation but also boosts the growth of companies in the electric vehicle segment,” Kholkar said.

He added, “At Blive, we are excited about the opportunities this creates and look forward to contributing to the development of a more eco-friendly and efficient transportation landscape. Moreover, recognizing the vital connection between the development of charging infrastructure and the growth of last-mile delivery services, we strive to build a comprehensive and sustainable electric mobility ecosystem that aligns with the evolving needs of our communities.”

Narain Karthikeyan, Managing Director & Founder, DriveX said, “As the Finance Minister Nirmala Sitharaman presented the Interim Budget 2024, it emphasized India's macroeconomic growth and fiscal consolidation, crucial for the two-wheeler auto industry.”

“The budget also given importance to keep the inflation under target, which eventually will prompt central bank to revise REPO rate resulting in availability of cheaper finance which in turn will augment the demand for two wheelers,” he added.

He also said that the revised fiscal deficit, targeted below 4.5 per cent by 2025-26, suggests a stable economic environment, potentially enhancing consumer confidence and spending capability, beneficial for our industry. The increased Capex outlay to USD 11.11 trillion indicates significant government investment, which could spur economic activities and indirectly boost demand for pre-owned two-wheelers.

Dr Lalit Singh, CEO of TelioEV said that we are particularly excited about the government's plans to approve a large number of vendors for the supply and installation of EV charging points across the country.

“India’s Interim budget 2024 is a major step forward in accelerating the adoption of EVs in India, and we believe it will create significant opportunities for companies like TelioEV. The increased focus on charging infrastructure will address a key concern for potential EV buyers, and it will also boost the confidence of investors in the Indian EV market. We are particularly excited about the government's plans to approve a large number of vendors for the supply and installation of EV charging points across the country. This will create a competitive market and drive down the cost of charging infrastructure, making it more affordable for everyone,” he said.

Chakravarthi C, Managing Director, Quantum Energy said that EV stands in the priority list of the government and we can expect the upcoming FAME policy and August session to encompass all the particulars.

“The interim budget might not have specified any policy or allocation towards the EV sector, however, it did mention the intention to promote EV in public transportation. Additionally, what we need right now is to strengthen the EV ecosystem holistically for which budget is indicated towards policies and measures that will be undertaken to support manufacturing and charging infrastructure. Clearly, EV stands in the priority list of the government and we can expect the upcoming FAME policy and August session to encompass all the particulars," Chakravarthi said.

Sameer Aggarwal, CEO and Founder, Revfin said that continued focus on the rural economy support, youth skill development, and gender-inclusive initiatives reflects a holistic approach toward inclusive and sustainable growth.

“The vote-on-account the interim budget presented by the Hon'ble Finance Minister, signals towards a transformative era for the nation. The commitment to fortify the Electric Vehicle (EV) ecosystem and support manufacturing and charging infrastructure aligns with global environmental goals, positioning India as a leader in widespread sustainable mobility adoption. Continued focus on the rural economy support, youth skill development, and gender-inclusive initiatives reflects a holistic approach toward inclusive and sustainable growth. Skill India Mission's success in training 1.4 crore youth strengthens the workforce for evolving job demands," Aggarwal added.

Pritesh Mahajan, Co-Founder & CEO, Revamp Moto said, “The electric vehicle industry has exciting potential for the Interim Budget of 2024. A big step towards a sustainable future has been taken by the government's commitment to developing the EV ecosystem, assisting with production, and funding charging infrastructure. In addition to being in line with our environmental objectives, the focus on promoting e-buses for public transport and the implementation of a bio-manufacturing programme open doors for creative, sustainable alternatives.”

Furthermore, a comprehensive strategy is shown by the actions taken to harness offshore wind energy and encourage the gradual integration of biogas into natural gas. This budget not only jumpstarts our path to "net-zero," but it also ushers in a new era of environmentally friendly growth and conscientious manufacture for Revamp Moto and the entire EV industry, Mahajan added.

Pratik Kamdar, CEO & Co-Founder, Neuron Energy said, “The Interim Budget focused on key sectors and one of the promising ones is Electric Vehicles (EV). The initiatives will enhance and fortify the EV ecosystem by bolstering manufacturing and charging infrastructure. Additionally, the encouragement of greater adoption of e-buses for public transport networks through payment security mechanisms is a notable benefit. These investments not only pave the way for increased EV sales and adoption but also open doors for burgeoning job opportunities and entrepreneurial ventures within the sector. These efforts remain dedicated to driving India's green mobility revolution forward. There is also an anticipated outcome in the form of economic empowerment which will equip the youth with valuable technical skills, ensuring a robust workforce for the manufacturing of EV chargers, and associated equipment. We look forward to the July budget where the focus will be on Faster Adoption and Manufacturing of Hybrid and Electric Vehicles (FAME II) scheme and much-anticipated FAME III scheme.”

Hari Kiran, Co-Founder and COO, eBikeGo said, “We as an OEM are thrilled with the Interim Budget announced as the government’s commitment to expand and strengthen the EV ecosystem will significantly boost manufacturing and infrastructure development. This will emerge as a notable contribution in achieving Net Zero Goals and lays a solid foundation for sustainable mobility and a greener environment. Also, as highlighted by the Honourable Finance Minister, the new age technologies and data are changing the lives of people and businesses. They are also enabling new economic opportunities as India is showing solutions through innovation and entrepreneurship.”